O1 Properties fails to make interest payment on $350 million 8¼% notes due 2021

By Rebecca Melvin

New York, April 14 – Russia’s O1 Properties Finance plc said it hasn’t made the interest payment on $350 million 8¼% notes that was due on March 28, according to a notice.

The issuer and parent guarantor are committed to resolving the situation regarding the 8¼% notes due 2021 to the satisfaction of all parties and are considering options including potential consent solicitation prior to the next interest payment date, according to the notice.

The breach resulted because of the issuer’s inability to accumulate sufficient funds in the face of a contraction in the Russian economy resulting from the Covid-19 outbreak, volatility of oil prices and depreciation of the Russian ruble.

The issuer and parent guarantor are looking to engage in discussion with the noteholders, the notice stated.

The notes are guaranteed by O1 Properties Ltd., which is an investment company based in Moscow.

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.